7. Connecticut
The biggest disappointment for the retirees who wanted to move here… why? Because taxes in this state are exorbitant, but they are on the rise. Beginning in 2022, the income from a pension is exempt for joint filers with less than $100,000 or federal adjusted gross income.
Other taxpayers with federal AGI of less than $75,000 are also affected. Did you know that Connecticut has the third-highest median property tax rate in the United States?
The only good news is that the state offers property tax credits to homeowners who are 65 years old.
In case you didn’t know, Connecticut is the only state with a gift tax.
8. Michigan
When it comes to “The Great Lakes State,” Michigan is actually collecting more state and local taxes from retirees than many other states in America. And that’s disappointing. The state’s median property tax rate is the 14th highest in the nation despite the fact that they give some property tax breaks for retirees with lower incomes.
The situation with taxes is weird in Michigan because if, for example, you were born in 1946, the tax breaks for you might be pretty good. In case you were born later, the state won’t be that indulgent with you.
Are you planning on relocating right after retiring? We hope we’ve covered at least some of the states you’re thinking about!
If you are interested in taxes, then we have more like this. Don’t forget to check out 7 Amazing Places You Should Travel to When You Retire.
18 thoughts on “Curious About Big Taxes? Here’s How 8 States Tax Retirees”
You need to swap out Alabama for Virginia. Virginia taxes literally everything ata a high rate. I pay almost much personal property tax for my 4 year old truck as I do for my house.
I can’t quite understand your comment, but I think that you are saying that the taxes in Va are high & I agree! I get so upset every time I have to pay taxes on my vehicle every year!!!
I live in New York. Why do you have pay taxes on your vehicle?
I’m in Jersey. No taxes on clothes but there is on food!!! WTF!
What about Texas? Sure, property taxes are a little high; however, if you are a 100% disabled vet you pay 0 property tax on your primary residence. There is no state income tax, they don’t tax military retired pay or your vehicle when you register it every year like some states. TX is also one of the most veteran-friendly states with many discounts for vets. Also some of the best laws for gun owners.
James
THE U.S. GOVERMENT TAXES NEARLY ALL OF MY SOCIAL SECURITY AND THAT IS A CRIME AND A SHME! ITSBLOODMONEY. HOW DARE THEY!! I HATE PAYING TAXES ON SOCIAL SECURITY!!!
Yes agree my opinion, in general all our income tax rates state or federal are too high especially capitol gains tax. California is ridicoulous on capitol gains and state income taxation.
well you can blame the brain dead Bill Clinton for that as hes the one that signed it into law tax on a persons social security the obra act was passed and the scumbag AL GORE was the deciding vote and of course he passed it to tax our social security
Talk with Senator Bernie Sanders as well as a couple of House Members. They agree with you.
I find Delaware FAR more affordable than Connecticut.
Yes, and the beaches are a lot more welcoming! Not a lot of bikinis on the sound! 😉
I wish we didn’t have to pay property tax after 65 in Alabama. We are 82 and yes we are paying property tax. It’s not near as high as most states but it’s misinformation that we don’t pay property tax after 65.
IF you can afford a house in Colorado!!! We had to move out of Colorado because we are not millionaires!
Florida is a low tax state. We don’t have income tax. We have four main V.A. hospitals and dozens of V.A. out clinics not to menschen Military Basses. A veteran with 100% disability gets a free auto tag free hunting and fishing license. free entrance to state & Federal parks. No taxes on your house except fire, school and trash pickup. And the sun, bugs, rain, sunburns, tans, and the tourist crowds are also free. lol (please do not feed our gators, they are already friendly.)
Thanks for the Military info. I’m 60 percent disabled now. Voice recognition. Not far from Tennessee
Love the gators,didn’t see any until I went the gator farm.
Same mistake here, I lived in NYC for 25 years and my taxes were very low comparing to where I moved to Connecticut. I am amazed how expensive is CT, they tax you on everything that moves, inclusive a simple cheap ONE-motorcycle trailer that has a license plate…We cannot wait to get out of CT in the next for years or so, thus, we are also looking to be able to live a better life after retirement, and we are even thinking of going OVERSEAS…sad to have to leave the USA because of this nonsense taxation. I HOPE WE will find a better State where we can retire…4 years to find that out.
Florida is looking to eliminate OWNER OCCUPIED PROPERTY TAX AND REPLACING IT WITH A SALES TAX. Much fairer.